Des Moines, Iowa — The state’s top economic development official says if lawmakers create a tax credit for the production of sustainable aviation fuel, Iowa could land a refinery.
There are already refineries in Georgia, North Dakota, and Montana producing the renewable fuel for airplanes, but Iowa Economic Development Authority director Debi Durham says there’s a market for several more around the country.
Durham says the governor will reveal the specifics on tax-related recommendations in January. Durham suggests some long-standing tax credits the state has offered businesses are up for a potential overhaul.
Durham says the state tax credit for research and development is critical but can be adjusted. However, Durham says change is needed in the state’s 20-year-old High Quality Jobs Program. It has provided tax breaks to Iowa businesses expanding their operations here and to out-of-state companies launching an Iowa location. Durham says the program’s tax credits and exemptions were created to buy down Iowa’s corporate tax rate, which was among the highest in the country.
Durham has been Iowa’s top economic development official since 2011.
